Companies owned by billionaire Richard Desmond have filed lawsuits against the decision of the British gambling regulator to grant the Czech Allwyn a license to operate the National Lottery.
Desmond’s Northern & Shell and its subsidiary, New Lottery Company, have filed lawsuits against the Gambling Commission, according to a April 13 Supreme Court document – becoming the third party to challenge the prize.
The commission announced Allwyn’s victory in the fourth race for the highly lucrative national lottery contract last month, ending Camelot’s 27 years of uninterrupted work. Camelot generated net income of £ 730 million in the year to March 2021, with revenues of £ 8.4 billion from almost 10 million players.
This license is due to expire in 2024, 30 years since the 1994 lottery was launched.
However, Camelot, owned by the Ontario Teachers’ Pension Fund and its technology provider International Game Technology, has also taken action in a high court to try to overturn the commission’s decision.
The competition was shrouded in secrecy, with code names used internally by the commission to prevent leaks from the judging process.
Northern & Shell, which owns the Health Lottery, has not previously made its bid public and has no other publicly available details about the former porn baron’s order request. The plaintiffs are represented by law firm Brian Cave Leighton Paysner, in a case first reported by the Financial Times.
Another bidder, Italian operator Sisal, which was bought during the competition by Paddy Power Flutter owner, is also considering joining Camelot, according to the Sunday Telegraph.
The Gambling Commission declined to comment on Northern & Shell’s actions. When Camelot announced his action on April 1, the commission said: “The competition and our evaluation have been carried out fairly and lawfully in accordance with our legal obligations and we are confident that the court will reach this conclusion.
Allwyn is ultimately owned by Czech billionaire Karel Komarek and already runs lotteries in the Czech Republic, Greece, Cyprus, Italy and Austria. She hired prominent British businessmen to manage her offer, including Sir Keith Mills, who led London’s winning bid for the 2012 Olympics, and former Sainsbury boss Justin King.
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After winning the contract competition, Allwyn said he planned to “generate more money for good causes and the public wallet” and to stop slipping into eraser cards and instant-profit games, paying due attention to more the wide public impact they can have. “
It also says that Camelot’s staff “will be welcome to join us.” Camelot employs 1,000 people in Watford.
Allwyn and Northern & Shell were asked to comment.
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